Eyewitness News has learned Nevada now tops the list of states with the highest number of homeowners who
Owe more than their house is actually worth.
So many Americans now owe more than their homes are worth that there's even a new term for it.
It's called underwater borrowers. "That means they owe more than their house would sell for on the open market," said Jack Woodcock with Prudential Americana Group. And it comes as no surprise to local real estate experts that Nevada once again leads the nation in the number of underwater borrowers at a full 48-percent.
That means nearly one out of every two Nevada homeowners is now in this negative equity category.
But local experts who know the market say just because a lot of residents are underwater right now, that doesn't mean they're all going to drown.
"You don't have to drown. Time is on your side," said Woodcock. "It's just a matter of holding out for a while."
Woodcock says those with stable mortgage rates will be better able to stay afloat, but those with adjustable rate mortgages that are due to reset in the coming months are the most vulnerable to foreclosure.
"They need to look at the benefits being provided by the bailout plan right now," he said. And while experts may differ in the length of time they predict it will take for the economy to see any meaningful recovery -- six months to two years -- those who know the southern Nevada market best are confident about one thing,
"I'm absolutely confident that if we're not at the bottom we're very close to it now."
Underwater homeowners with adjustable rate mortgages can contact any real estate or mortgage professional for more information about your refinancing options.
Contact the Greater Las Vegas Association of Realtors